Churchill Downs Q2 2026: Record Derby Week Drives 11% Revenue Growth, Debt Reduced by $360M
CHDN sits 15% above its 52-week low of $80.24.
Summary
Churchill Downs posted Q2 2026 net income of $241 million on $980 million in revenue, driven by a record Derby week. Total debt fell to $4.8 billion, and the company has $430 million left on its buyback program.
Key Events · Earnings and Guidance · CHDN
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Record Derby Week Lifts Revenue
Live and Historical Racing revenue rose 6% to $543 million, driven by record Kentucky Derby week results including higher NBC broadcast, ticketing, and sponsorship revenue.
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Net Income Up 11%
Net income attributable to Churchill Downs reached $241 million, or $3.42 per diluted share, compared to $217 million, or $2.99 per share, a year ago.
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Debt Reduced by $360 Million
Total debt outstanding fell to $4.795 billion from $5.155 billion at year-end 2025, with the revolver balance cut by $328 million.
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Buyback Program Unused in Q2
No shares were repurchased during the quarter, leaving $430 million remaining under the July 2025 authorization. The company repurchased $251 million in Q2 2025.
Analysis · CHDN · Trade & Services
Churchill Downs delivered a strong second quarter, with net revenue up 5% to $980 million and net income rising 11% to $241 million. The Live and Historical Racing segment was the standout, fueled by a record-breaking Kentucky Derby week that boosted broadcast, ticketing, and sponsorship revenue. The company also continued to strengthen its balance sheet, paying down $360 million in debt during the first half of the year. With $430 million remaining on its buyback authorization and no repurchases this quarter, management appears focused on debt reduction and organic growth. The results reinforce the company's ability to generate cash and invest in growth projects like the Rockingham Grand Casino, though the pending strategic review of nine regional casinos adds uncertainty.
At the time of this filing, CHDN was trading at $92.59 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $6.2B. The 52-week trading range was $80.24 to $118.35. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.